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GDP doesn't measure value created; it measures money spent. If I hire you to dig a big hole and then fill it in, GDP rises but no value was created. Also if I
by akvadrako 9y ago
GDP doesn't measure value created; it measures money spent. If I hire you to dig a big hole and then fill it in, GDP rises but no value was created.
Also if I pay you $50 to pay me $50, GDP rises by $100.
- ikeboy 9y agoAre you arguing all entertainment costs are wasteful? If I hire you to act in a TV show and then stream it to a million people, would you also say no value is created? What is value, if not what makes people happy / gives them utility? If someone is willing to pay someone to dig a hole, then that digging gives them value (assuming no fraud/ etc).